The Australian share market defied a mixed lead from the US to finish 0.8 per cent stronger. Locally resources and financials lead gains boosted by a modest inflation read for October, further evidence that the RBA is unlikely to raise interest rates tomorrow.
The S&P/ASX 200 Index is 37 points higher to finish at 4,699. On the futures market, the SPI200 is up 55 points.
To company news: Sigma Pharmaceuticals Ltd (ASX:SIP) has confirmed that it has been slapped with a class action lawsuit from its investors, that could cost the pharmaceutical’s manufacturer up to $100 million. The lawsuit, filed by Slater & Gordon in the Federal Court in Melbourne, is in response to Sigma’s market disclosure concerning profit forecasts and writedowns both this and last year , and covers investors who held interest in Sigma from 7 September 2009 to 25 February 2010. Investors are alleging they were mislead by Sigma and are seeking damages, while Sigma says it will vigorously defend the proceedings. Shares in Sigma fell 3.33% to close at $0.435.
Maryborough Sugar Factory Ltd (ASX:MSF) has been advised that a sugar company based in Thailand (Mitr Phol Sugar Corp) has bought a 19.9 per cent stake in the company from New Zealand listed Guinness Peat Group (NZE:GPG). Queensland-based Maryborough understands that the proposed price is for $4 cash per share, conditional on Foreign Investment Review Board approval and the Thai Company obtaining a seat on the board. Maryborough had previously voiced its desire to possibly develop a strategic partnership. However, the sugar producer has not been involved in discussions with its new owner and so Maryborough says it remains unaware of their intentions. Shares in Maryborough Sugar Factory closed 20.88% higher at $3.30.
Shares in Crossland Uranium Mines Ltd (ASX:CUX) soared to close 60 per cent higher today, following news the uranium explorer had identified rare earths deposits in its Charley Creek project area in the Northern Territory.
Buderim Ginger Ltd (ASX:BUG) has revised down its profit guidance for the calendar year. The agribusiness is now expecting a $3.6 million loss before tax because of drought conditions, write-downs and a strong Australian dollar.
Ten Network Holdings Ltd (ASX:TEN) has offered James Packer and Lachlan Murdoch directorships, following Mr Packer securing an 18 per cent stake in Ten for over $250 million.
BT Investment Management Ltd (ASX:BTT) has recorded a 72 per cent increase in statutory net profit to $21.8 million in fiscal 2010, and also, boosted its dividend by 96 per cent to a total ordinary dividend of 15.5 cents for the year.
In the best and worst performers: Most sectors closed in the black today, the best performing sector at close was Financials Excluding Real Estate Investment Trusts with the index lifting 54 points to 5,164. The worst performing sector was Consumer Staples with the index down 17 points to 8,075. The best performing stock in the S&P/ ASX200 was Cudeco shares were 8.79% higher at $2.60. Shares in Medusa Mining and Karoon Gas also closed higher. The worst performing stock was Hastie Group with shares dropping 12.26% to close at $1.36. Shares in RedMed and Gunns closed weaker today.
In commodities, gold is trading at $1363 US an ounce. Light crude is up $0.40 at $81.83 US a barrel.
